CBI arrests Challakere JD(S) leader for amassing new notes
Bengaluru, (DHNS): The CBI arrested K C Veerendra, a JD(S) leader from Challakere near Chitradurga, in connection with the huge pile of Rs 2,000 notes found in his possession.
The FIR includes several officials of Kotak Mahindra Bank, ICICI Bank, State Bank of India and State Bank of Mysore.
On Saturday, officials from the Income Tax (I-T) department conducted raids on 15 premises, including Veerendra’s house in Challakere and a casino owned by him in Goa.
The taxmen seized Rs 5.7 crore in Rs 2,000 notes, besides Rs 90 lakh in Rs 100 and Rs 20 denominations in Hubballi district and in Challakere.
A source said Veerendra colluded with some bank officials and middlemen to exchange the demonetised currency with Rs 2,000 notes.
Reports from Hubballi say that I-T officials interrogated Veerendra, Samundar Singh of Sagar Finance Company and owners of three casinos in Goa.
On Sunday night, Veerendra was asked about the source of money. Singh and the casino owners were interrogated on Monday.
Veerendra, a former chairman of Primary Land Development Bank, was running a chit fund business and also used to lend money before diversifying into a casino and other ventures. His name had figured in cricket betting too.